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DECISION No. 182/1999/QD-TTg OF SEPTEMBER 3, 1999 RATIFYING THE PROJECT ON DEVELOPMENT OF VEGETABLES, FRUITS, FLOWERS AND ORNAMENTAL TREES IN THE PERIOD 1999-2010

THE PRIME MINISTER

Pursuant to the Law on Organization of the Government of September 30, 1992;

At the proposal of the Ministry of Agriculture and Rural Development,

DECIDES:

Article 1.- To ratify the project on development of vegetables, fruits, flowers and ornamental trees in the period 1999-2010 with the following main contents:

I. Orientation and objective:

1. Orientation:

- To develop vegetables, fruits, flowers and ornamental trees aimed at exploiting the advantages in the diversified climatic and ecological conditions (tropical, subtropical and temperate) of the different areas in the country to produce foods with multinutritional value for man, contributing to solving the job problem, greening the denuded land and barren hills and building up the environmental landscapes;

- To develop vegetables, fruits, flowers and ornamental trees in association with the needs of the market, to ensure competitiveness on the domestic market, on the markets of the countries in the region and in the world, both in the immediate future and over the long term;

- To develop vegetables, fruits, flowers and ornamental trees in different regions in the whole country with special attention to a number of areas with special ecological conditions, such as the Mekong river delta, Lam Dong, the plain of the Red River, (especially trees in the winter crop) the highlands of the mountain region in the North; to combine the transformation of mixed-trees gardens and intensive cultivation of the existing gardens with the plantation of new gardens along the line: to develop widely such planting among the population while expanding the areas of key specialized trees according to intensive planting schemes and gradual modernization; to use traditional technology and clean technology to protect the environment, to protect the health and life of the people, and raise the quality of exports.

2. Target

- To quickly meet the needs of the people�s life for vegetables, fruits, flowers and ornamental trees (ordinary and high grade) with stress being laid on promotion of production and processing of fruit juice at low prices in order to step by step replace the present alcoholic beverages;

- To create jobs for around five million people;

- Export value shall reach 1 billion USD per year by 2010.

II. On solutions:

1. Orientation for planning the production areas: The Ministry of Agriculture and Rural Development shall guide the People�s Committees of the provinces and centrally-run cities to revise their production planning, rearrange the plant structure to make it conform with the soil and climatic conditions of each area; to associate the development of raw material areas with the processing facilities; the produce must proceed from the needs of the market (domestic and export) in order to plan and draw up the plan of production for each kind of products, and not to let the farmers engage in spontaneous production which would lead to on-and-off surpluses and shortages to the detriment of both producers and consumers.

In the immediate future it is necessary to concentrate on transforming the mixed-trees gardens, building concentrated specialized plantations, intensive planting of a number of trees with advantageous conditions of competition in the country and abroad, such as pineapple, banana, longan, litchi, mango, citrus, thanh long, high-grade vegetables, asparagus, pepper, flowers, ornamental trees...

2. Science and technology

a/ Strains: there must be sets of good strains of high productivity to replace the present low productivity and low quality strains along the line: selection of the existing strains, importing and cross-breeding new strains with high productivity and good quality.

The Ministry of Agriculture and Rural Development shall guide the Vegetables and Fruits Research Institute and the Fruit Trees Research Institute of the South to assist the provinces in technique so that they may have first-lineage nurseries aimed at helping the enterprises and the people to crossbreed and create good strains to cater for the needs of the growers of vegetables, fruits, flowers and ornamental trees.

On the basis of the rearrangement of the system of scientific research establishments of the ministry, there must be a plan of investment in the Vegetables and Fruit Trees Research Institute under the Vietnam General Corporation of Vegetables and Fruits together with the Fruit Trees Research Institute of the South to transform them into Research Institutes of the regions for vegetables, fruits, flowers and ornamental trees.

b/ To quickly apply and carry out the process of production by the clean technology (use of micro-biological fertilizers and micro-biological preservatives against plant diseases...), the advanced and modern technology of watering and drainage, the technology of preservation and processing so that within a short period the technology of production, preservation and processing of vegetables and fruits of Vietnam may catch up with that of the other countries in the region.

3. Processing.

a/ On the basis of planning concentrated specialized planting areas, the areas which are yielding products must be invested with appropriate processing establishments with due balance to be observed between the processing capacity and the material resources. The importation of processing equipment must ensure the needs of advanced and modern technology corresponding with the demand of consumer markets, reduction of production cost and higher quality of products in service of exportation and consumption.

b/ To complete the investment in building factories for the processing of fruit juices and canned fruits in a number of areas, to study the investment in processing the juice of a number of specialty fruits with special flavor of Vietnam.

In the immediate future, for a number of provinces which have been growing pineapples such as Kien Giang, Tien Giang, Ha Tinh, Ninh Binh (Dong Giao), Bac Giang and a number of other areas, it is necessary to complete the investment in building new processing factories or investment in transforming and renovating the equipment of the existing factories in order to consume all the pineapples of the growers on condition of assuring the consumption market.

4. Market:

The Ministry of Trade shall assume the main responsibility and coordinate with the related ministries and branches to submit to the Prime Minister measures to support the export of vegetables and fruits into major and new markets, including the United States and Russia aimed at ensuring stable outlet for vegetables and fruits in the immediate as well as long-term future. To create conditions and help the enterprises in expenditures for participating in international fairs and exhibitions and advertisement to seek new markets.

5. On tax:

The Ministry of Planning and Investment shall assume the main responsibility and coordinate with the Ministry of Agriculture and Rural Development and the People�s Committees of the provinces and centrally-run cities to complete at an early date the issue of Preferential Investment Certificates under the Law on Domestic Investment Promotion (amended) stipulated in Decree No. 51/1999/ND-CP of July 8, 1999 providing details for the implementation of the Law to Domestic Investment Promotion (amended) No. 03/1998/QH10.

The Ministry of Finance shall study to solve the application of the most preferential tax rate in the current tariff for the establishments producing and processing vegetables, fruits, flowers and ornamental trees.

6. Investment and credit:

a/ State budget funds shall be invested in the following works: scientific and technological research; importation and creation of first lineage strains; promotion of agriculture, transfer of new and advanced technology on vegetables, fruits, flowers and ornamental trees; training of personnel.

b/ Credit funds shall be invested according to plan for the projects of improving and renovating technology and equipment and new investment in processing and planting of fruit trees under the projects.

c/ Bank credit funds: to ensure funds for the needs of the growers of vegetables, fruit trees, flowers and ornamental trees.

d/ Funds under the program of job settlement and bank appropriations in service of the poor in difficult areas.

7. To encourage all economic sectors to develop vegetables, fruits, flowers and ornamental trees especially through the models of family farming economy and private farms which invest in the planting of vegetables, fruit trees, flowers and ornamental trees and the processing industry.

8. Training of personnel and technical training:

The Ministry of Agriculture and Rural Development shall further intensify agriculture promotion and forest promotion in order to train the peasants in the planting technique of vegetables, fruits, flowers and ornamental trees, especially in guiding them to apply the clean technology and persuade them not to use noxious chemical insecticides in the production of vegetables, fruits, flowers and ornamental trees and to develop the positive role of the cooperative economy and the cooperatives in pest prevention and control.

There must be plans to train and retrain managerial workers and technical workers, first of all the directors of enterprises in order to raise their knowledge of the technique and management of production and improve the quality and reduce the cost of products.

To strengthen and broaden international cooperation in science and technique, technology and training of personnel.

Article 2.- This Decision takes effect 15 days after its signing.

Article 3.- The Minister of Agriculture and Rural Development, the Minister of Planning and Investment, the Minister of Finance, the Minister of Science, Technology and Environment, the Minister of Trade, the Governor of the Vietnam State Bank, the Presidents of the People�s Committees of the provinces and centrally-run cities, the heads of the related agencies shall have to implement this Decision.

For the Prime Minister

Deputy Prime Minister

NGUYEN CONG TAN